In this publication, I will explain how to obtain cryptocurrencies and make money. The first thing to keep in mind is that you are entering a market that can have 10-30% fluctuations per day.
Also, it is important to keep in mind that this market is not just about bitcoin. There are thousands of cryptocurrencies, and you can make as much money exchanging those other currencies as those who have already done it with bitcoin. There are still several ways to generate profits. However, never forget that this is a new market and you will lose a lot of money if you don’t investigate before entering it.
Now, without much detours, let’s go through the 8 strategies to make money with the cryptocurrencies market.
This is generally the easiest method and is the equivalent of long-term stock holdings. Basically, it’s about finding where to buy your preferred currency and leaving it in a hardware wallet or at the exchange/place you buy it.
Example: Go to coinbase.com and buy BTC, ETH or LTC.
Currency trading (daily exchange or swap):
This is a very active way to earn money with cryptosystems.
It’s about trading like you would with stocks, using technical analysis and fundamental analysis to get in and out of trades quickly to make money from the rise and fall of a given currency’s price.
Think of the old “buy low, sell high”, although its equivalent in the crypto market could be “buy high, sell higher”, considering the speed with which it moves.
Example: Sign up for Binance and buy/sell coins.
HYIP (High-Yield-Interest Programs):
They require large affiliate programs and involve involving others on your team. While these programs have a chance of high passive returns, these companies often close within a year or two and there is a strong possibility that your money will disappear.
Many people are willing to risk their money for the high payments and walk away before the company closes or the scam runs.
Example: Use a site like bitconnect.co or usi-tech.info.
Indexed funds (Crypto-diversification):
Like withholding, this strategy involves the accumulation of a wide variety of cryptosystems, which allows the possibility of hedging your currencies against others. Make money by selling a currency when it has profits and move those profits to other currencies.
This is also a long term investment, but has the highest probability of passive gain over time.
Example: Use a service like coincube.io to manage and adjust your index.
Mining (Working for coins):
Cryptocurrencies mining requires powerful computers to “mine” the coins. This is how new coins are introduced into the ecosystem. By joining what is commonly referred to as a mining group, you can add the GPU power you have available on your computer to one of these groups and get passive income in the form of the currency being mined.
It is important to note that this will require a large amount of power and you will need to consider your electricity bill to define whether this is profitable
Example: Join a bitcoin or other mining group
Cloud mining (Pay per work):
While you can mine, you can also choose to pay for the time of other users who have subscribed their computers to a mining service such as Nicehash (recently hacked), Hashflare or Genesis. In this case, you receive the coins that those computers extract when you pay them to mine.
Example: Sign up for Hashflare or Genesis and pay for the service.
Master Nodes (Transaction Processing):
This concept implies to become a “master node” to given cryptocurrencies. What this allows you to do is process transactions for a given crypto network, charging fees for each transaction.
Doing this requires a large investment in the selected cryptocurrency, however, it could be profitable if it comes early. Example: Buy 1000 DASH coins and set up a server to claim “MasterNode” status.
ICO investment (Initial Offer of Coins):
One of the newest ways to obtain seed capital is to create ICO’s, which is a new coin / token available for those willing to invest in a given project. While this has a high probability of x4 – x10 return, it is after the currency starts to be traded.
There is also a strong possibility that the ICO will end up being an exit scam. High returns come with high risk. You can find ICO by searching on Google.
Example: Buy at v-one.io and until the trading begins.